==========================================START OF PAGE 1======
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 14860 / April 1, 1996
S.E.C. V. ALEXANDER CHARLES FUENTES, ALCOM TRADING, INC. and
AMERICORP & ASSOCIATES, INC., Case No. 96-0703-CIV-KING (S.D.
Fla.)
The Commission announced that on March 26, 1996, the
Honorable James Lawrence King, of the Southern District of
Florida entered an Order of Preliminary Injunction and Continuing
Asset Freeze ("Consent Order"), by consent, against Defendants
Alexander Charles Fuentes, of Miami, Florida, Alcom Trading, Inc.
("Alcom") and Americorp & Associates, Inc.
("Americorp")(collectively, "Defendants"), enjoining them from
violations of the antifraud provisions of the federal securities
laws. The Consent Order also freezes Defendants' assets pending
resolution of the case.
Previously, on March 15, 1996, the Commission filed a
complaint in the Southern District of Florida seeking a temporary
restraining order, preliminary and permanent injunctions, civil
penalties and other ancillary relief against the Defendants.
Fuentes is a director and vice president of Alcom and Americorp,
respectively.
The Commission's complaint sought to enjoin Defendants from
violating Section 17(a) of the Securities Act of 1933
("Securities Act"), Section 10(b) of the Securities Exchange Act
of 1934 ("Exchange Act") and Rule 10b-5.
The Commission's complaint alleged that Defendants raised at
least $2,500,000 from at least 24 investors through patent
falsehoods and misrepresentations regarding their purported
grocery diverting investment program. Specifically, the
complaint alleged that Fuentes, was conducting an ongoing fraud
in which he obtained funds from investors by convincing them that
their funds would be used to obtain groceries that will
immediately be re-sold at higher prices, and that the investors
would share in the resulting profits. Investors were allegedly
promised returns of up to 300% per year.
On March 15, 1996, the Honorable James Lawrence King,
entered a Temporary Restraining Order ("TRO") prohibiting the
defendants from violating the antifraud provisions of the federal
securities laws. In addition, the TRO freezes defendants' assets
and orders that: (a) defendants preserve records; (b) defendants
account for proceeds they received from the fraudulent scheme;
and (c) Fuentes surrender his passport and not travel outside of
the United States.
==========================================START OF PAGE 2======